Investment firm Sinostar PEC to inject $240m for China plant

The plant has a production capacity of processing about 200,000 tonnes of polypropylene per annum.

Investment firm Sinostar PEC will invest $240m (RMB1.2b) for the construction of a polypropylene production plant in Shandong, China, an announcement revealed.

The plant’s estimated production capacity of processing is 200,000 tonnes of polypropylene per annum.

The firm’s subsidiary Dongming Hengchang will be in charge of the proposed investment through land acquisition as well as the construction of the factory building, and instalment of the processing facilities.

The total cost will include $26.02m (RMB130m) for the expenses for the construction of the building, $176.16m (RMB880m) for the production facilities, and $38.03 (RMB190m) for other related matters including the land acquisition.

The firm will finance the cost through a combination of its internal resources and the use of bank borrowings.